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The Economic Times

Investment / The Economic Times

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Supreme Court rulings set to raise insurers' third-party liability

General insurers face higher motor third-party claim reserves due to Supreme Court rulings. A recent ruling fixes homemakers' notional income, increasing claim payouts. This interpretation is expected to raise claim outgo significantly over eighteen months. Insurers also face policy standardization for occupant and pillion-rider coverage. Motor third-party insurance remains challenging with rising claim costs and slow premium growth.

13 Aug 2026 1:04 am